SECP imposes Rs4.73bn+ fines for corporate law breaches

July 29, 2026 (MLN): The Securities and Exchange Commission of Pakistan (SECP) has stepped up enforcement to improve corporate governance among companies, imposing fines exceeding Rs4.73bn for violations of the Companies Act.

Between February and June, the SECP decided 531 pending cases and imposed fines. Private and unlisted companies were fined Rs4.70bn, while Rs9m in fines were imposed in 99 cases involving listed companies.

The fines included penalties for delays in board meetings and failure to appoint women and independent directors.

In the insurance sector, fines of Rs2m were imposed in 25 cases. Insurance companies were penalized for delays in policyholders’ claims and solvency issues.

Three companies operating fraudulent investment schemes were fined Rs4 billion.

The SECP also issued 117 orders against state-owned companies for violations of the Companies Act.

A total of 69 cases involving violations of takeover laws and anti-money laundering regulations resulted in fines of Rs1.6 million. Separately, 53 NBFIs were fined Rs1.4 million for violations of AML regulations.

SECP Chairman Dr. Kabir Sidhu said transparency in the corporate sector and protection of minority investors are the commission’s top priorities.

He added that effective enforcement of laws is essential for maintaining investor confidence in the market.

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